- Ethereum leads crypto drop, falling over 5% in 24 hours.
- Arthur Hayes sold $13M in ETH, ENA, and PEPE today.
- Hayes warns of Q3 tariffs, weak job data, slowing credit.
The crypto market faced a sudden and steep sell-off today, with Ethereum leading the drop, falling over 5% in the last 24 hours. Adding to the market wide sell-off, Arthur Hayes, analyst and co-founder of BitMEX, sold off a portion of his holdings as well: 2,373 ETH worth around $8.32 million, 7.76 million ENA tokens worth $4.62 million, and 38.86 billion PEPE tokens valued at $414,700, all within just six hours.
Many were left wondering why Hayes, known for his strategic market calls, chose to sell instead of buying the dip. According to Hayes, the answer lies in the economic outlook. He warned that the US will soon face serious pressure from upcoming Q3 tariff payments and pointed out the disappointing non-farm payroll data, which shows weakening job growth.
Hayes added that no major economy is currently expanding credit fast enough to keep up with nominal GDP growth. The analyst is expecting Bitcoin to eventually retest $100,000 and Ethereum to retest $3,000.
Related: Bitcoin Dominance Hits 3-Year High But Faces Historical August-September Slump
Short-Term Technicals Align with Hayes’ View
In the short term, however, Bitcoin is struggling to gain strength. Bitcoin has been rejected multiple times around the $120K to $123K zone and is now trading within a short-term bearish trend, making lower highs and lower lows.
Support is being tested in the $114K range and further weakness could send the price closer to $110K to $112K. Though there is still liquidity in the $120K region, momentum seems to be lacking for now.
Related: Ethereum ETFs Start August with First Outflow, Ending 20-Day Streak
As for Ethereum, one analyst said, “ETH Holding above $2,700 keeps the macro bullish structure intact, and could lead to a breakout toward new highs into 2026.”
If it holds above $2,700, the overall bullish trend stays strong, and Ethereum could bounce back and aim for higher targets around $4,446, $5,063, and even $5,903 in the longer run, possibly reaching new highs by 2026.
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